According to the monitoring of the Ministry of Commerce, the domestic iron ore spot price in May has been lifted from the previous ups and downs, and the trend has stabilized. The Ministry of Commerce expects that due to the tight supply of domestic iron ore will be eased, prices may fall in the future.
According to monitoring, the average price of domestic iron ore at the end of May was 1,530 yuan/ton, a slight increase of 2% from the beginning of the month.
From the perspective of supply and demand factors, domestic and foreign capacity expansion has accelerated, and the contradiction between iron ore supply and demand has eased. According to statistics, the output of iron ore in the country during the first four months was 235 million tons, a year-on-year increase of 25.4%. At the same time, the supply of international iron ore has increased significantly. The relevant person estimates that in 2008, the new supply of international iron ore will be more than 78 million tons. The significant increase in global iron ore supply will help ease the tight supply and demand relationship in the iron ore market.
In addition, in order to ease the problem of iron ore pressure in Hong Kong, the domestic port raised the iron ore port storage charges on June 1 and increased the rate by more than 1 time. This will ease the current high iron ore port inventory and the tight international shipping market. The Ministry of Commerce anticipates that under the premise of the release of production capacity and the stabilization of the shipping market, the domestic supply of iron ore will be eased and prices may fall.
According to monitoring, the average price of domestic iron ore at the end of May was 1,530 yuan/ton, a slight increase of 2% from the beginning of the month.
From the perspective of supply and demand factors, domestic and foreign capacity expansion has accelerated, and the contradiction between iron ore supply and demand has eased. According to statistics, the output of iron ore in the country during the first four months was 235 million tons, a year-on-year increase of 25.4%. At the same time, the supply of international iron ore has increased significantly. The relevant person estimates that in 2008, the new supply of international iron ore will be more than 78 million tons. The significant increase in global iron ore supply will help ease the tight supply and demand relationship in the iron ore market.
In addition, in order to ease the problem of iron ore pressure in Hong Kong, the domestic port raised the iron ore port storage charges on June 1 and increased the rate by more than 1 time. This will ease the current high iron ore port inventory and the tight international shipping market. The Ministry of Commerce anticipates that under the premise of the release of production capacity and the stabilization of the shipping market, the domestic supply of iron ore will be eased and prices may fall.